Case-sensitivity problem with Git in OS X

I've several times experienced problems with files and folders having incorrect case in Git repositories in OS X, so I decided to gather some possible fixes and solutions to this problem. If you have any suggestions or comments, please consider sharing it with me in a comment.

According to the comment, a git pull would now rename the file for other OS X users as well.

A permanent fix

As mentioned in both the article at Coderwall.com, and by several users in this Stackexchange post, OS X's filesystem uses a case-preserving format, not a case-sensitive format. There are ways to get around this when working with a repository, though. Both articles suggests creating a disk image with a case-sensitive format, more specifically the Mac OS Extended (Case-sensitive, Journaled) format.

Here's a slightly rewritten version of the step-by-step list found in the article at Coderwall.com, explaining how to create such a disk image:

Launch Disk Utility

Choose “New Image”

Enter a name for your volume, e.g “Workspace”

Set the size to something that will most likely fit your needs

Select Mac OS Extended (Case-sensitive, Journaled) in “Format”.

Select “Single Partition - Apple Partition Map” in “Partitions”

Ensure “Sparse bundle disk image” is set in “Image Format”.

Save it somewhere on your hard drive

The final step is to move any Git repositories to this new disk image. Any problems you've had with case-sensitivity will now be history.